Champion Homes, Inc.

The question and answer session will follow today's formal presentation. If anyone should require our assistance, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I'll now turn the call over to your host, Jason Blair, to begin. Jason, please go ahead.

Good morning. Thank you for taking the time to join us for today's conference call and review of our business results for the third quarter ended December 28, 2024. Here to review Champion's results are Tim Larson, Champion Homes President and Chief Executive Officer, and Lori Huff, Executive Vice President, Chief Financial Officer, and Treasurer. Yesterday, after the market closed, we issued our earnings release. As a reminder, the earnings release and statements made during today's call include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties that could cause actual results to differ materially from the company's expectations. Such risks and uncertainties include the factors set forth in the earnings release and in the company's filings with the Securities and Exchange Commission. Please note that today's remarks contain non-GAAP financial measures, which we believe can be useful in evaluating performance. Definitions and reconciliations of these measures can be found in the earnings release. I would now like to introduce Champion Home's CEO, Tim Larson, who was appointed CEO and a member of the company's board of directors in December. Tim is a highly accomplished executive and CEO with decades of leadership in the consumer products and manufacturing industries, including significant experience transforming a diverse portfolio of businesses via customer-driven innovation and omnichannel retail. Tim originally joined Champion Homes in May of 2021 as Chief Growth Officer and led the development and delivery of the company's customer experience growth strategy and omnichannel platform. During this time, Tim has worked very closely with Champion's talented employees, customers, and channel partners, as well as working closely with the leadership team. I will now turn the call over to Champion Home CEO, Tim Larson.

Thank you, Jason. Good morning, everyone. We appreciate you attending today's earnings call. Since joining Champion three and a half years ago, being part of this team and what we do has become core to my purpose. I'm honored to serve and lead our collective team as we embark on our next phase of growth. Champion Homes is a company with a talented team, a strong reputation, and a great portfolio of brands and products. Each of those attributes were recently recognized nationally. For the fifth straight year, our Skyline brand was named the most trusted manufacturing housing brand by Life Story Research. This reflects our unwavering commitment to provide customers with high-quality homes and experiences. In stepping into the role, I've been actively engaging in feedback sessions across our stakeholders. We've already identified opportunities to further capitalize on our strengths and drive additional value. I'm committed to building on the effectiveness of our strategy, including the expansion of our retail and direct-to-consumer capabilities and strategic investments that support the growth of our community, independent retail, and builder-developer customers. In my conversations with employees, I'm thrilled by their enthusiasm and willingness to think differently and advance even further as a customer-centric organization. It's already unlocking new ideas and actions to improve and elevate the business. I've already been able to connect with numerous customers in my first 50 days, and I remain impressed by their passion for the industry and the opportunities ahead. In December, I was able to meet with several investors and analysts to share my excitement for the Champion Homes business. and I look forward to building on our conversations, including our commitment to drive sustainable, profitable growth and long-term value. As I look ahead, we will continue to execute our differentiated strategy while remaining nimble and a dynamic market. With that backdrop in mind, I'll now provide an overview of the recent quarter and our expectations for the remainder of the fiscal year. Our third quarter performance demonstrates strong execution across the company. including by our sales, retail, and manufacturing teams that are definitely delivered on the market's growing demand. In the third quarter, year-over-year net sales increased 15.3% to $645 million. Homes sold during the period increased 13% for a total of 6,646 homes. The third quarter saw a sequential increase in the revenue from the fiscal second quarter of $28 million, Our backlog at end of the third quarter was 313 million, which is up 8% from the same period last year. We saw a normal seasonal slowdown in order rates throughout the quarter, contributing to the 27% sequential decline in backlog. An average backlog ended Q3 at 10 weeks, which is on the higher side of our four to 12 week norms. Now I'll provide some additional commentary from the quarter on each of our sales channels. Sales to our independent retailer channel grew during the quarter, and we anticipate that to continue, enabled by our direct-to-consumer and digital capabilities, combined with new products and flooring support. Sales through our captive retail channel continues to grow. We are very pleased with the organic growth of the regional homes business and the accretive nature of the overall transaction. The success of the regional acquisition is a testament to the combined organizations, including the tenacity and customer-centric approach of the regional teams. Spending time with our community customers is among my many highlights of the last 50 days. We are growing with our community customers and are committed to supporting their mission and goals. We're developing new products with communities in mind and are encouraged by the response to the new homes we feature at the recent Louisville show. In our Build a Developer channel, homes sold increase year over year and the project pipeline interests continue to grow. We've recently delivered homes to projects across several markets, and we've had very positive feedback from customers and the local community on the design and value of the homes. With each project, we capture the proof points and the insights that benefit future developments. That includes working with federal, state, and local officials to expand zoning and accelerate the often long lead times associated with these projects. Across our channels, we are pleased with the progress of Champion Financing, our joint venture with Tribe Financial Services. we are seeing early benefits consistent with our vision to serve consumers across their home purchase experience. Our floor plan programs ensure our retailers have the right mix and value of products for today's consumers. And our retail loan programs further drives increased affordability and value. We look forward to continued collaboration with the ECM Capital and Triad teams and partners. Before touching on Q4, I want to express our heartfelt concerns for all those affected by the devastating California fires. We have three plants in Southern California. Unfortunately, there was no direct damage to our facilities or our retailers in the area. We are committed to supporting the region and working closely with the community on rebuilding efforts. Looking to our fiscal fourth quarter, demand from our customers remains within our expectations. We anticipate fourth quarter revenue to be up low double digits from the same quarter last year and in line with pre-earnings fourth quarter consensus. A sequential moderation from the third quarter is anticipated and in line with our typical slower winter selling season. We are closely monitoring the dynamic tariff environment and have an agile playbook that builds on previous experiences. We are still early in the spring selling season and are prepared to further scale production with order demand. As I mentioned, we received a very strong response at the Louisville show and anticipate that will positively contribute to our fiscal fourth quarter and into fiscal 2026. In summary, affordable housing remains a pivotal need across our U.S. and Canadian markets, reflected in the recent trends and our anticipation for strong medium-term and long-term demand. I will now turn the call over to Laurie, who will discuss our quarterly financial performance in more detail.